The point of an emergency fund is to leave it somewhere so that you only use it if there is a major emergency that does come up. This is why it is not a good idea to leave that somewhere that is easy to access, such as your regular checking account. No, you don’t want to lock it into a retirement account or into something that is impossible to get, but you do want to add a few steps to the process to make sure that you won’t spend it on something like a date night.
Luckily, there are a few different places where you can leave this emergency fund, depending on what you plan to do with it and what works the best for you. A few examples of what you can do here includes:
# A simple savings account. It will be out of sight and out of mind, but if you need it, this account is attached to your checking account, so you can access the money whenever you would like.
# A money market account: This is often going to provide you with a higher return from the interest rate and you can often get debit card or check-writing privileges if you would like.
# A high-yield savings account that is going to pay a higher rate and will make it simple to move money from there to your checking account for when an emergency does happen.
There are also a few places where you need to avoid placing the money or you could end up in some trouble along the way. You do not want to place it in a shoebox or in the backyard. This is dangerous and not really going to help you out all that much when it is time to make some purchases in an emergency. You also do not want to place it in an investment account. These can often lose money in the short-term and it is harder to take that money out later if you do end up needing it for something.
Finding a community that you will love when it is time to go to college can make the whole experience better than ever before. We welcome you to come and check out some of our three bedroom student apartments in Reno to make sure that you are able to get some of that community that you are looking for. With a lot of amenities, a location that is close to it all, and lots of amazing space, you will want to move in right away. When it is time for the big move, Contact a member of our team today to learn more and for your very own tour.
